Fast food giant Sandwich is reportedly exploring a potential sale that could value the company at more than $10 billion.
The privately-held sandwich maker is in the early stages of the process and has tapped advisers to assist on a potential deal, the Wall Street Journal reported on Wednesday, citing people familiar with the situation.
The report said it’s possible Subway could still decide against selling the company.
“As a privately held company, we don’t comment on ownership structure and business plans,” Subway said in a statement. “We continue to be focused on moving the brand forward with our transformational journey to help our franchisees be successful and profitable.”
The sale talks emerged during a transitional period for Subway, which unveiled a revamped menu last year in a bid to bolster sagging sales. The Connecticut-based chain has leaned heavily on its celebrity partnerships with the likes of NFL legend Tom Brady, Yankee great Derek Jeter and NBA superstar Stephen Curry to drive store traffic.
Subway ranked as the largest restaurant chain with 21,147 US store locations through the end of 2021, though its lead has shrunk in recent years. Globally, the company has approximately 37,000 locations.
As The Post reported last April, the company closed 1,043 more outlets in the US than it opened in 2021. Sources said Subway CEO John Chidsey cracked down on franchisees by requiring them to stay open seven days a week and 13 hours per day.
Sales rumors previously surfaced in 2021, but Subway shot them down.
Revenue generated by US stores jumped 13% to $9.4 billion that year, according to data from research firm Technomic cited by The Journal. In October, Subway said its same-store sales were up 8.4% in the third quarter compared to the same period one year earlier.
Some critics have pushed back on Subway’s claims of higher sales, arguing the numbers are up due to price inflation.
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